Did you know that you can redirect the income taxes you are already required to pay to the State of Pennsylvania to go to TCA to be used for student scholarships? These programs are called EITC (Educational Improvement Tax Credit) and OSTC (Opportunity Scholarship Tax Credit). Both programs are designed to encourage a donation of scholarship funds for low-income families that desire a private school education. The only difference between the two programs is that students who receive OSTC scholarships must come from “failing school districts”.
If you’re interested in learning more about our EITC and OSTC programs, or if you have any other questions about ways that you can support TCA, please contact Jon Thompson (’97), our Director of Development. His email is jthompson@tca-pa.org or you can reach him by phone at 610-872-5100 x129.
Why would the state promote these programs?
Put simply, it benefits public school districts to have fewer students to support. The average EITC/OSTC scholarship per student is about $3,000, and if that scholarship allows a student to attend a private school, the public school districts avoid the $10,000 – $15,000 cost to educate that child while still receiving the same level of income from school taxes.
Who is ELIGIBLE to PARTICIPATE?
Both businesses and individuals who pay taxes to the State of Pennsylvania of at least $1,000.
Is there any reason to not participate?
Not any valid reasons that can’t be addressed. This is practically free money that is available to promote the Lord’s work in Christian Education. How can we not help?
How does this work?
PA has a flat tax rate of 3.07%. If you make $100,000, you will owe $3,070 to the state. Through this program, you can redirect that money to go to scholarships for students to attend TCA rather than to go to our state government in Harrisburg
If a donation is between $1,000 & $3,500?
For those donating at least $1,000 but less than $3,500 you will give to the ACSI Children’s Tuition Fund. Here is a sample of what that would look like.
$100,000 in State Income:
| EITC Donation | $3,070 (.0307 x $100,000) |
| PA Tax Credit | $2,763 (90% of $3,070) |
| Federal Tax Writeoff | $307 (10% of $3,070) |
| Net Cost To You | Less than $307 |
| Benefit to TCA | $2,916.50 (ACSI CTF charges a 5% processing fee) |
| Conclusion | For a donation of a little more than $300, TCA gets almost $3,000 to use for scholarships |
Donations of $3,500 or more?
If you are donating at least $3,500, you will give through the Central Pennsylvania Scholarship Fund. Here is a sample of what it would look like.
$200,000 in state income
| EITC Donation | $6,140 (.0307 x $200,000) |
| PA Tax Credit | $5,526 (90% of $6,140) |
| Federal Tax Writeoff | $614 (10% of $$6,140) |
| Net Cost To You | Less than $614 |
| Benefit to TCA | $6,140 |
| Conclusion | For a donation of a little more than $600 TCA gets over $6,000 to use for scholarships |
How do I get INVOLVED?
Please schedule a telephone or in person meeting with our Director of Development, Jon Thompson, at 610-872-5100 or email jthompson@tca-pa.org. Jon will walk you through the steps for participation, answer all of your questions and also coordinate with your tax preparer if necessary.
TCA to me is home and has been a home for the past 12 years. The teachers truly care for each and every one of their students. It is amazing that the teachers care and will ask how you are doing and how they can pray for you. TCA is also a safe place where you can be yourself and trust your teachers with just about anything. TCA is just an amazing community of God-loving people and you can feel it in the air.
Josh Shank
Class of 2022
TCA has meant a lot to me over the years. It has shown me how to work hard while balancing other responsibilities. TCA has meant a lot to me because of the teachers. They have always wanted the best for me, encourage me to succeed, and they point me to Christ. The community at TCA is very special because the friendships I’ve made can last a lifetime.
Sophia Lyons
Class of 2022
Jon Thompson
Director of Development